Summary
A flexible approach to growth-and-income investing. With an emphasis on growth over income, the strategy seeks undervalued and overlooked opportunities, investing in companies with high-quality products and leading market shares with the underappreciated potential for growth in sales, earnings and dividends.
Strategy Assets (millions)
$142,232.8
Portfolio Managers 13
Quarterly Fact Sheet (PDF)
Returns (Gross/Net)%
17.20 / 13.77
1-year
16.01 / 12.62
5-year
12.66 / 9.35
10-year
1.52 / -1.39
Dividend Yield
(Gross/Net %)
(Gross/Net %)
Returns and Yield as of 2/28/2025 (updated monthly).
Asset Mix
U.S. Equities
82.2% |
Non-U.S. Equities
15.0% |
U.S. Bonds
0.0% |
Non-U.S. Bonds
0.0% |
Cash & Equivalents
2.8% |
As of 2/28/2025 (updated monthly)
Capitalization Distribution
Mega 79.9% | Large 16.5% | Medium 1.2% | Small -- | Micro 0.0% |
As of 2/28/2025 (updated monthly).
Description
Objective
The strategy’s investment objective is to achieve long-term growth of capital and income.
Distinguishing Characteristics
With an emphasis on growth over income, the strategy seeks undervalued and overlooked opportunities. It invests in companies with high-quality products and leading market shares with the underappreciated potential for growth in sales, earnings and dividends. It has the flexibility to invest a sizeable portion of its assets outside of the U.S.
Types of Investments
Primarily U.S. common stock, American Depository Receipts, other equity-type securities and cash.
Holdings Outside the U.S.
May invest up to 35% of assets in securities of issuers outside the United States.
Portfolio Restrictions
The fund may invest up to 5% of assets in debt securities rated Ba and BB or below (or unrated, but determined by the fund’s investment adviser to be of equivalent quality).
Strategy Facts
Composite Inception
7/31/1978
Strategy Assets (millions)
$142,232.8
As of 2/28/2025 (updated monthly).
Companies/Issuers 100+
Holdings are as of 2/28/2025 (updated monthly).
Portfolio Turnover
22.63%
Returns
Month-End Returns as of 2/28/2025
Quarter-End Returns as of 12/31/2024
Month-End Returns as of 2/28/2025
Quarter-End Returns as of 12/31/2024
Portfolio Management
LEARN ABOUT THE CAPITAL SYSTEMSMYears of Experience with Capital Group
Years of Experience with Investment Industry
Portfolio Managers
Julian N. Abdey
29
22
Paul Benjamin
19
19
Mark L. Casey
24
24
Mathews Cherian
28
21
Brady L. Enright
36
28
Irfan M. Furniturewala
24
24
Dimitrije M. Mitrinovic
23
17
Diana Wagner
30
24
Portfolio Strategy Manager*
Richard Carlyle
42
18
Marc E. Nabi
35
10
Olufunmilayo (Funmi) Nubi
19
2
Alex Shenkman
26
23
Michael Wadeson
22
22
A boldface number indicates that years of experience with Capital
Group is equal to years of experience with investment industry.
*While not responsible for managing the portfolio, Portfolio
Strategy Managers optimize the portfolio in seeking to replicate the strategy's risk and return profile in
the SMA.
Risk & Volatility
Risk Measures
For the 10 Years ending 2/28/2025 R-squared, Beta and Capture Ratio calculated using the S&P 500 Index.
Strategy
Standard Deviation
15.00
Sharpe Ratio (Gross/Net)
0.72/0.50
R-squared
96
Beta
0.97
Downside Capture Ratio (Gross/Net)
99/106
Upside Capture Ratio (Gross/Net)
99/91
Holdings
Equities Breakdown
Sectors
| Top Industries
Equity Strategy Holdings
- Information technology27.2%
- Industrials13.5%
- Financials13.2%
- Health care10.5%
- Consumer discretionary9.7%
- Communication services7.8%
- Consumer staples7.3%
- Energy3.5%
- Materials2.0%
- Utilities1.7%
- Real estate1.7%
% of net assets as of 12/31/2024 (updated quarterly).
Largest Equity Holdings
- Broadcom6.9%
- Microsoft5.7%
- Philip Morris International4.5%
- Amazon.com3.7%
- Meta Platforms3.3%
- Alphabet3.0%
- TSMC2.4%
- NVIDIA2.2%
- TransDigm Group2.0%
- Visa2.0%
% of net assets as of 2/28/2025 (updated monthly).
QUARTERLY HOLDINGSGeographic Diversification
% of net assets as of -- (updated quarterly).
The New Geography of Investing ®
Regions | Strategy |
S&P 500 Index
| |
United States | 84.8% | 100.0% | |
Canada | 4.7% | 0.0% | |
Europe | 6.5% | 0.0% | |
Emerging Markets | 4.0% | 0.0% |
% of net assets as of 12/31/2024 (updated quarterly).
Strategy Breakdown by Domicile
Regions | Strategy |
S&P 500 Index
|
United States | 83.1% | 100.0% |
Canada | 4.6% | 0.0% |
Europe | 6.4% | 0.0% |
Emerging Markets | 4.0% | 0.0% |
Cash & Equivalents | 2.0% | 0.0% |
% of net assets as of 12/31/2024 (updated quarterly).
Resources
Literature for Capital Group U.S. Flexible Growth and Income
- Quarterly Fact Sheet (PDF) 02/25
- Quarterly Portfolio Holdings (PDF) 01/25